Crown Post Offices (Hansard, 12 July 1995)

§ 5. Mr. Bill Michie
To ask the President of the Board of Trade if he will make a statement on the future of Crown post offices. [32120]

§ The President of the Board of Trade and Secretary of State for Trade and Industry (Mr. Ian Lang)
The location and ownership of post office outlets is a matter for the board.

§ Mr. Michie
I am sure that the House and people outside are interested to know how much support the Government have from consumer organisations for the possibility of privatising and franchising Post Office Counters. People outside are saying that Crown post offices should be given freedom of access to funds so that they can once again create a service that is appreciated by the vast majority of the nation. Why are the Government prejudiced against a public enterprise that works and is appreciated?

§ Mr. Lang
I presume that the hon. Gentleman is aware that 95 per cent. of all post offices are already in the private sector. What we are talking about with regard to the Crown offices is not privatisation but providing better services in a more responsive way in the interests of the public. It is clear from the success that has been established with those offices that have been transferred to agency status that the services have improved and customer satisfaction has risen.

§ Mr. Gallie
First, may I commiserate with my right hon. Friend on giving up the great office of Secretary of State for Scotland? That shows great sacrifice in the interests of the Union, because I am sure that he will do remarkably well in his current national post. May I also remind him that, in recent times, there has been great concern about post offices in rural areas? May I point out that the lottery, gas companies that now offer a bill payment service through post offices, and a range of other matters linked to privatisation offer a great future for post offices in rural areas? Will my right hon. Friend bear that in mind when he deals with the matter in future?

§ Mr. Lang
I thank my hon. Friend for his opening remarks. As one of my colleagues said to me, I have moved from the position of viceroy to that of president. I can live with that happily, and I hope that my hon. Friend will support me as I seek to ensure that the rest of the United Kingdom achieves the lower unemployment that we have in Scotland, the higher productivity and the greater exports per head of the population that Scotland has already achieved.
On the post offices, my hon. Friend is absolutely right. They operate in a competitive market, and it is important that they react to the shifting pattern of retail trade. That is part of our objective.